Details of Cruise/Holmes divorce settlement revealed

Celebrity watchers in Boston have probably seen the coverage of Katie Holmes’ recent divorce from Tom Cruise, as she has been in the media spotlight with the couple’s daughter, Suri, ever since filing for divorce. The actual divorce settlement was reached very quickly, which is not always common in a high-asset divorce where there is more at stake financially and often greater disputes over property division.

New details of the settlement reveal that Holmes will not be receiving spousal support, but instead will receive roughly $400,000 per year in child support for Suri for the next 12 years, until Suri turns 18. In addition, Cruise will pay all of Suri’s health care and educational costs, and also will set up a trust fund for Suri, which she will be able to access to some degree upon her 18th birthday, although she will not be able to fully access the funds until she reaches her thirties.

Holmes may not be receiving any direct financial support from Cruise going forward, but she will keep the lavish gifts she acquired during the course of their marriage, including a jewelry collection estimated to be worth millions.

The settlement was reached in less than two weeks, which is a rather short time, especially when considering the financial assets at stake. However, the two seemed to reach a mutually beneficial agreement that allows them both to go on with their lives and continue to provide for their daughter. “We are committed to working together as parents to accomplish what is in our daughter Suri’s best interests,” the two wrote in a joint statement. When it comes down to it, high-asset divorce can be as simple as any divorce when the parents agree to work together to support and care for their children.

Source: Huffington Post, “Suri Cruise Gets ‘Sizable’ Trust Fund As Part Of Tom Cruise, Katie Holmes Divorce Settlement: REPORT,” Aug. 28, 2012

Archives

FindLaw Network